Audit & Assurance Services

We believe that assurance goes beyond our statutory responsibilities to report on a company’s accounts, which is why Audit & Assurance is one of our firm’s core service lines.

In today’s changing global economy, before any business can create value, it must create trust - businesses need trusted advisers.
Our audit & assurance experts take the time to understand your business as well as the sectors in which you operate. We can help you identify major risks and opportunities over and above performance of the traditional financial reporting function. We are constantly looking for ways to improve efficiencies and enhance client service.
Our commitment to delivering high-quality assurance services is at the heart of what we do. We provide comprehensive audit and assurance services designed to deliver real value and to help clients develop their business.

Statutory Audit

Statutory audit is carried out at the end of the period/ financial year to provide reasonable, not absolute, assurance that the financial statements taken as a whole are free from material misstatement, whether from error or fraud and is in compliance with the International Financial Reporting Standards (IFRSs). The audit is carried out in line with the requirements of the relevant authorities and regulatory regimes wherever applicable. The audit is undertaken by critically examining the financials of the entity on risk assessment basis and with regard to established auditing procedures (International Standards on Auditing)

Benefits of carrying out the
audit include:

For obtaining loan from financial institutions as adequate disclosures are provided which is detail enough to provide the present and prospective lenders, a neat and clear status of the entity “as it stands” and its capability in repaying the loan.

Regular audit of account create fear among the employees in the accounts department and exercise a great moral influence on clients’ staff thereby restraining them from committing frauds and errors

In case of Companies where ownership is separated from management, audit of accounts ensure the shareholders that accounts have been properly maintained, funds were utilized for the right purpose and the management have not taken any undue advantage of their position.

It provides the required assurance to its shareholders and stake holders with regard to their expectations about the business and its actual performance.

It helps the owners to decide whether to expand their business or consolidate their existing operations.

It helps in reinforcing and strengthening the internal controls in the entity.

Disputes between management may be more easily settled. For instance a partnership which has complicated profit sharing arrangements may require an independent examination of those accounts to ensure, as far as possible, an accurate assessment and distribution of the profits.

Major changes in ownership may be facilitated if past accounts contain an independent audit report, for instance, where two sole traders merge their business to form a new partnership.

Internal Audit

We are internal Audit specialists, most entities would
like to conduct an independent internal audit by a third
party (professional firm) rather than, in-house internal
auditors. Internal Audits, unlike Statutory Audits are
not year-end audits;they can be carried out at any point
of time and help in the following:

Benefits of carrying out the
audit include:

It tells you the health of the established
internal control system.

It identifies the root of the problem and
helps in preparing plans for corrective and
preventive actions with strict adherence to time
frame.

It helps to avoid small problems from being
blown into uncontrollable proportions by
performing timely checks.

It provides information for continuous
improvement in the established internal control
procedures.

We go deep into the procedures and test its
effectiveness, suggest new procedures and make
an internal assessment of the threats to the
organization from frauds and such risks besides
assessing the losses which otherwise were not
apparent.

For obtaining loan from financial institutions
as adequate disclosures are provided which is
detail enough to provide the present and
prospective lenders, a neat and clear status of the
entity “as it stands” and its capability
in repaying the loan.

Regular audit of account create fear among the
employees in the accounts department and exercise a
great moral influence on clients’ staff
thereby restraining them from committing frauds and
errors.

In case of Companies where ownership is
separated from management, audit of accounts
ensure the shareholders that accounts have been
properly maintained, funds were utilized for the
right purpose and the management have not taken
any undue advantage of their position.

It provides the required assurance to its
shareholders and stake holders with regard to their
expectations about the business and its actual
performance.

Concurrent Audit

Concurrent Audit is basically aimed to conduct the
Audit as it goes with routine transactions or say
“online” or better to call on the spot Audit as
a continuing practice. Concurrent Audit in most cases is
100% checking of all transactions contrary to the test
check methodology adopted while performing statutory
audit which is usually after the close of the
year/accounting period. Thus concurrent Audit mitigates
the continuing of mistakes, errors and frauds as this
could be spotted while doing the audit on a continuous
basis.

The main objectives of concurrent audit include:

Ensuring compliance of laid down systems, procedures and policies and bringing any violation of
procedure to light. For example, ascertaining whether sanction for advances and expenditures is
taken from competent authority.

Examining books of accounts records and registers to ensure that they are maintained in
accordance with the prescribed systems.

Adequate measures are being taken in advance to prevent future frauds, etc., to avoid
difficulties, which may arise.

To check cash, securities, etc., to ensure that they are in due order and in agreement with
books.

Assessing overall performance of the branch while assessing productivity and profitability and to
offer useful comments on the basis of audit conducted.

Reporting any inefficiency in any operational level.

Reporting any irregularity in working which may result in financial or other loss to branch.

Reporting to appropriate levels of management for appropriate actions for remedial measures.

Scrutinizing the completeness of documents submitted for availing advances and other facilities
and physical checking of stocks and other assets at relevant places.

To follow up with authorities to ensure timely rectification of irregularities reported which were
not rectified on the spot.

To verify promptly, timely and regular submission of the periodical and statutory returns if any.

Inventory/Stock audit

As the name suggests, it is an Audit of Inventory
wherein the Auditors have to conduct a thorough search
and audit on the contents of inventory as to its age,
suitability, movement, purchase price, market price, and
direct and indirect cost allocation besides the fair
valuation.

The main objectives of inventory audit include:

The inventory audits are mainly conducted for the
banks and financial institutions who have lent to their
clients against the security of stocks. These audits are
thus for all independent third party evaluation as to the
physical availability, correct value and also to
technically verify that the item placed to the bank or to
the lenders are marketable and not obsolete and slow
moving.

These audits will also form part of the due diligence
process normally in mergers and acquisitions exercises,
where many a time, an independent third party assessment
is required by corporate clients, listed companies or by
the potential buyer in general.

It identifies the concern has adequate internal controls regarding purchase, sales and storage of
materials.

Whether the physical stock has been identified with the help of unique no. (Stock nos., batch nos., etc.).

Whether value-more items has been given due consideration during the audit.

The procedures for movement of stock during the process of verification has been controlled by a
competent authority

The deviations reported in audit has been clarified/ acknowledged by the management.

With respect to trading and manufacturing concerns, the investment in stock be it raw materials or
finished goods, would constitute around 60 % of overall cost. Thus the company must have a sound
policy with regard to ordering the right quantity, ordering at right price, ordering through right source,
ordering at right time and ordering the right quality. By having a regular stock audit, the company can
reduce unnecessary investment on stocks.